Methods, systems, and computer-readable media for deploying and implementing centralized trading and tracking computing platforms to support tri-party trading are presented. In some embodiments, a central trading computing platform may receive, from a discretionary and managed accounts administration computer system associated with a financial institution, trade information defining one or more trades in one or more mutual funds for one or more accounts administrated by the financial institution. Subsequently, the central trading computing platform may validate the trade information and create order information based on the trade information. Then, the computing platform may send the order information to a clearing entity computer system. The order information created may be configured to cause the clearing entity computer system to settle the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution with a custodian different from the financial institution.
Legal claims defining the scope of protection. Each claim is shown in both the original legal language and a plain English translation.
1. A system, comprising: at least one processor; a communication interface communicatively coupled to the at least one processor; and memory storing computer-readable instructions that, when executed by the at least one processor, cause the system to: receive, via the communication interface, and from a discretionary and managed accounts administration computer system associated with a financial institution, trade information defining one or more trades in one or more mutual funds for one or more accounts administrated by the financial institution; validate the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution; after validating the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution, create order information based on the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution, wherein creating the order information based on the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution comprises adding one or more indicators identifying a custodian different from the financial institution to the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution; send, via the communication interface, and to a clearing entity computer system, the order information created based on the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution, wherein sending the order information created based on the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution to the clearing entity computer system causes the clearing entity computer system to settle the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution with the custodian different from the financial institution; receive, via the communication interface, and from the clearing entity computer system, activity-position information associated with the one or more mutual funds; and send, via the communication interface, and to a central tracking computing platform associated with the financial institution, the activity-position information associated with the one or more mutual funds received from the clearing entity computer system, wherein sending the activity-position information associated with the one or more mutual funds received from the clearing entity computer system to the central tracking computing platform associated with the financial institution causes the central tracking computing platform associated with the financial institution to: allocate changes identified in the activity-position information associated with the one or more mutual funds received from the clearing entity computer system to one or more accountholders associated with the one or more accounts administrated by the financial institution; and post the changes identified in the activity-position information associated with the one or more mutual funds received from the clearing entity computer system and allocated to the one or more accountholders associated with the one or more accounts administrated by the financial institution to one or more trading applications provided by the discretionary and managed accounts administration computer system associated with the financial institution.
2. The system of claim 1 , wherein the discretionary and managed accounts administration computer system associated with the financial institution is configured to provide one or more trading user interfaces to one or more managed account advisors associated with the financial institution.
The system relates to financial account management, specifically the administration of discretionary and managed investment accounts within a financial institution. The problem addressed is the need for efficient and secure management of such accounts, particularly in providing advisors with tools to monitor and execute trades on behalf of clients. The system includes a computer system associated with a financial institution that administers both discretionary and managed accounts. This system is configured to provide trading user interfaces to managed account advisors, enabling them to interact with the accounts. The interfaces allow advisors to view account details, execute trades, and manage investment strategies. The system ensures that advisors have the necessary tools to perform their roles while maintaining compliance with financial regulations. The interfaces may include features such as real-time market data, portfolio analytics, and trade execution capabilities, all integrated into a secure platform. This setup enhances the efficiency of account management and improves decision-making for advisors.
3. The system of claim 2 , wherein the discretionary and managed accounts administration computer system associated with the financial institution is configured to receive trade input specifying the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution via the one or more trading user interfaces provided to the one or more managed account advisors associated with the financial institution.
A financial management system automates the administration of discretionary and managed investment accounts for a financial institution. The system addresses inefficiencies in handling multiple accounts, ensuring compliance, and streamlining trade execution. It includes a central administration computer system that processes trade inputs for mutual fund investments across various accounts. The system provides trading user interfaces to managed account advisors, allowing them to submit trade orders for one or more accounts under their management. These trades are then processed and executed within the system, ensuring proper allocation and tracking of investments. The system also enforces compliance rules and maintains accurate records of all transactions. By centralizing trade administration, the system reduces manual errors, improves operational efficiency, and ensures consistent application of investment strategies across multiple accounts. The integration of user interfaces for advisors facilitates seamless trade input, while the system's backend processes ensure proper execution and record-keeping. This approach enhances scalability and reliability in managing large portfolios of discretionary and managed accounts.
4. The system of claim 1 , wherein the discretionary and managed accounts administration computer system associated with the financial institution is configured to provide one or more trading user interfaces to one or more financial advisors associated with the financial institution.
The system relates to financial account management, specifically for administering discretionary and managed investment accounts within a financial institution. The core problem addressed is the need for efficient and secure management of investment accounts by financial advisors, ensuring proper oversight and compliance while providing tools for effective trading and portfolio management. The system includes a computer-based administration platform that integrates with financial institution systems to manage both discretionary accounts (where advisors have full control) and managed accounts (where clients have input). A key feature is the provision of trading user interfaces tailored for financial advisors, enabling them to execute trades, monitor portfolios, and access account data. These interfaces are designed to streamline workflows, reduce errors, and ensure compliance with regulatory requirements. The system may also include authentication mechanisms to verify advisor credentials and authorization levels, ensuring only authorized personnel can access sensitive account information. Additionally, the platform may support real-time data updates, reporting tools, and integration with external market data sources to enhance decision-making. The overall goal is to provide a unified, secure, and efficient system for managing investment accounts while maintaining compliance and improving advisor productivity.
5. The system of claim 4 , wherein the discretionary and managed accounts administration computer system associated with the financial institution is configured to receive trade input specifying the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution via the one or more trading user interfaces provided to the one or more financial advisors associated with the financial institution.
A financial management system integrates discretionary and managed investment accounts within a financial institution. The system addresses inefficiencies in handling multiple account types by centralizing trade execution and administration. A computer system linked to the financial institution processes trade inputs for mutual fund transactions across various accounts. Financial advisors interact with the system through dedicated trading interfaces, enabling them to submit trade requests for one or more accounts under their management. The system ensures seamless execution of trades while maintaining compliance and oversight for both discretionary (where advisors have full control) and managed (where trades require approval) accounts. This integration streamlines workflows, reduces errors, and enhances transparency in portfolio management. The system may also include features for account monitoring, reporting, and compliance tracking, ensuring regulatory adherence and operational efficiency. By consolidating trade administration, the system improves scalability and reduces administrative overhead for financial institutions managing diverse account structures.
6. The system of claim 1 , wherein validating the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution comprises accepting the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution based on one or more processing rules associated with the one or more mutual funds and based on one or more product rules associated with the one or more mutual funds.
This technical summary describes a system for validating trade information in mutual funds administered by a financial institution. The system addresses the challenge of ensuring that trades in mutual funds comply with both fund-specific processing rules and product-specific rules, which are essential for regulatory compliance and operational efficiency in financial institutions. The system receives trade information from a discretionary and managed accounts administration computer system associated with the financial institution. This trade information defines one or more trades in mutual funds for one or more accounts administered by the institution. The system validates these trades by applying processing rules associated with the mutual funds, which may include criteria such as trade timing, volume limits, or account eligibility. Additionally, the system applies product rules specific to the mutual funds, which may cover aspects like investment objectives, redemption restrictions, or fee structures. By validating trades against these rules, the system ensures that only compliant trades are accepted, reducing the risk of errors, regulatory violations, or operational inefficiencies. The system enhances automation in trade processing while maintaining adherence to financial regulations and fund-specific requirements. This approach is particularly valuable in environments where multiple mutual funds and accounts are managed, requiring consistent and accurate validation of trade activities.
7. The system of claim 1 , wherein the custodian holds one or more assets of the one or more accounts administrated by the financial institution in trust, such that the one or more assets of the one or more accounts administrated by the financial institution are held away from the financial institution.
This invention relates to a financial system where a custodian holds assets of accounts administered by a financial institution in trust, ensuring the assets are kept separate from the financial institution. The system involves a financial institution managing accounts for clients, where the assets within those accounts are entrusted to a custodian rather than being held directly by the financial institution. The custodian acts as a trustee, safeguarding the assets independently of the financial institution, reducing risk and enhancing security. This separation ensures that the assets are protected from potential financial institution insolvency or mismanagement. The system may include mechanisms for the financial institution to access and manage the accounts while the custodian retains control over the underlying assets. The arrangement provides an additional layer of security and trust, particularly in scenarios where clients require assurance that their assets are held independently of the financial institution's operational risks. The custodian's role includes verifying transactions, ensuring compliance, and maintaining the integrity of the assets under trust. This setup is particularly relevant in banking, investment management, and other financial services where asset segregation is critical.
8. The system of claim 1 , wherein the central tracking computing platform associated with the financial institution updates billing information, supervision information, and reconciliation information based on the activity-position information associated with the one or more mutual funds received from the clearing entity computer system.
The system relates to financial tracking and reconciliation for mutual funds. It addresses the challenge of efficiently managing and updating financial data across multiple mutual funds, ensuring accurate billing, supervision, and reconciliation processes. The system includes a central tracking computing platform operated by a financial institution that receives activity-position information from a clearing entity computer system. This information pertains to transactions and positions within one or more mutual funds. The central platform processes this data to update billing details, supervision records, and reconciliation reports. Billing information may include fees, charges, or payments associated with the mutual funds. Supervision information tracks compliance, regulatory requirements, or internal oversight activities. Reconciliation information ensures consistency between the financial institution's records and those of the clearing entity, resolving discrepancies. The system automates these updates, reducing manual effort and improving accuracy in financial tracking. The integration with the clearing entity's system ensures real-time or near-real-time data synchronization, enhancing operational efficiency. This approach supports financial institutions in maintaining accurate, up-to-date records for mutual funds, facilitating better decision-making and regulatory compliance.
9. The system of claim 1 , wherein the central tracking computing platform associated with the financial institution allocates the changes identified in the activity-position information associated with the one or more mutual funds received from the clearing entity computer system to the one or more accountholders associated with the one or more accounts administrated by the financial institution by updating records identifying specific participants as owning or having rights to specific assets that have changed in position.
This invention relates to a financial tracking system that automates the allocation of mutual fund position changes to individual accountholders. The system addresses inefficiencies in tracking and updating ownership rights when mutual fund holdings fluctuate due to market activity, corporate actions, or other events. The central tracking platform, operated by a financial institution, receives activity-position information from a clearing entity computer system. This data reflects changes in the underlying assets of one or more mutual funds. The system then processes these changes by updating internal records to reflect which accountholders own or have rights to the affected assets. The updates ensure accurate ownership tracking, enabling proper dividend distribution, tax reporting, and portfolio management. The system may also handle adjustments for corporate actions like stock splits or mergers, ensuring all accountholders' positions are correctly reflected. By automating these allocations, the system reduces manual errors and improves operational efficiency in fund administration. The invention is particularly useful for financial institutions managing large numbers of mutual fund accounts, where timely and accurate position tracking is critical.
10. A method, comprising: at a computing platform comprising at least one processor, memory, and a communication interface: receiving, by the at least one processor, via the communication interface, and from a discretionary and managed accounts administration computer system associated with a financial institution, trade information defining one or more trades in one or more mutual funds for one or more accounts administrated by the financial institution; validating, by the at least one processor, the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution; after validating the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution, creating, by the at least one processor, order information based on the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution, wherein creating the order information based on the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution comprises adding one or more indicators identifying a custodian different from the financial institution to the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution; sending, by the at least one processor, via the communication interface, and to a clearing entity computer system, the order information created based on the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution, wherein sending the order information created based on the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution to the clearing entity computer system causes the clearing entity computer system to settle the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution with the custodian different from the financial institution; receiving, by the at least one processor, via the communication interface, and from the clearing entity computer system, activity-position information associated with the one or more mutual funds; and sending, by the at least one processor, via the communication interface, and to a central tracking computing platform associated with the financial institution, the activity-position information associated with the one or more mutual funds received from the clearing entity computer system, wherein sending the activity-position information associated with the one or more mutual funds received from the clearing entity computer system to the central tracking computing platform associated with the financial institution causes the central tracking computing platform associated with the financial institution to: allocate changes identified in the activity-position information associated with the one or more mutual funds received from the clearing entity computer system to one or more accountholders associated with the one or more accounts administrated by the financial institution; and post the changes identified in the activity-position information associated with the one or more mutual funds received from the clearing entity computer system and allocated to the one or more accountholders associated with the one or more accounts administrated by the financial institution to one or more trading applications provided by the discretionary and managed accounts administration computer system associated with the financial institution.
This invention relates to financial systems for processing mutual fund trades between a financial institution and a custodian. The system addresses inefficiencies in trade settlement and account reconciliation when a financial institution manages mutual fund trades for multiple accounts but relies on an external custodian for settlement. The method involves receiving trade information from a financial institution's account administration system, validating the trades, and converting the trade data into order information by adding custodian identifiers. The order information is then sent to a clearing entity, which settles the trades with the custodian. After settlement, the system receives activity-position data from the clearing entity and forwards it to the financial institution's central tracking platform. The tracking platform allocates the trade changes to individual accountholders and updates the financial institution's trading applications. This ensures accurate and automated reconciliation between the financial institution's records and the custodian's settlement activities, improving efficiency and reducing manual errors in mutual fund trade processing.
11. The method of claim 10 , wherein the discretionary and managed accounts administration computer system associated with the financial institution is configured to provide one or more trading user interfaces to one or more managed account advisors associated with the financial institution.
This invention relates to financial management systems, specifically a method for administering discretionary and managed investment accounts within a financial institution. The system addresses the challenge of efficiently managing multiple investment accounts while providing advisors with tools to execute trades and monitor portfolio performance. The method involves a computer system that administers both discretionary and managed accounts, where discretionary accounts allow advisors to make investment decisions without client approval, while managed accounts require client consent for trades. The system is configured to provide trading user interfaces to managed account advisors, enabling them to view account details, execute trades, and generate reports. These interfaces may include features such as portfolio analytics, risk assessment tools, and compliance monitoring to ensure regulatory adherence. The system also supports automated trade execution, real-time data updates, and integration with external financial data sources. Advisors can customize their interfaces to prioritize specific account metrics or trading strategies. The invention improves efficiency by centralizing account management, reducing manual errors, and enhancing decision-making with real-time data. This solution is particularly useful for financial institutions managing large portfolios across multiple clients.
12. The method of claim 11 , wherein the discretionary and managed accounts administration computer system associated with the financial institution is configured to receive trade input specifying the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution via the one or more trading user interfaces provided to the one or more managed account advisors associated with the financial institution.
A financial institution administers discretionary and managed investment accounts, including mutual funds, through a computer system. The system provides trading user interfaces to managed account advisors, enabling them to input trade instructions for one or more accounts. These trades are executed in mutual funds associated with the accounts. The system processes the trade inputs, ensuring they comply with account parameters and regulatory requirements before execution. The computer system may also generate reports, track performance, and manage compliance for the accounts. The advisors use the interfaces to monitor portfolio allocations, rebalance holdings, and adjust investment strategies based on market conditions or client objectives. The system automates trade execution, reducing manual errors and improving efficiency in account management. This approach streamlines the administration of mutual fund investments within managed accounts, enhancing scalability and compliance for financial institutions.
13. The method of claim 10 , wherein the discretionary and managed accounts administration computer system associated with the financial institution is configured to provide one or more trading user interfaces to one or more financial advisors associated with the financial institution.
This invention relates to financial management systems, specifically a method for administering discretionary and managed investment accounts within a financial institution. The system addresses the challenge of efficiently managing multiple investment accounts while providing financial advisors with tools to execute trades and monitor portfolios. The method involves a computer system that administers both discretionary and managed accounts, where discretionary accounts allow financial advisors to make investment decisions on behalf of clients without requiring approval for each trade, while managed accounts follow predefined investment strategies. The system is configured to provide trading user interfaces to financial advisors, enabling them to view account details, execute trades, and monitor portfolio performance. These interfaces may include features such as real-time market data, trade execution tools, and portfolio analytics to assist advisors in making informed investment decisions. The system ensures compliance with regulatory requirements by enforcing trading restrictions and approval processes where necessary. It also integrates with external data sources to provide up-to-date market information and supports various asset classes, including stocks, bonds, and mutual funds. The interfaces are designed to be user-friendly, allowing advisors to efficiently manage multiple accounts while maintaining oversight of client portfolios. The overall goal is to streamline account administration, improve decision-making, and enhance the efficiency of financial advisory services.
14. The method of claim 13 , wherein the discretionary and managed accounts administration computer system associated with the financial institution is configured to receive trade input specifying the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution via the one or more trading user interfaces provided to the one or more financial advisors associated with the financial institution.
This invention relates to a financial management system for administering discretionary and managed investment accounts, particularly for mutual fund trading. The system addresses inefficiencies in handling trades across multiple accounts by providing a centralized administration platform for financial institutions. The system includes a computer system that processes trade inputs from financial advisors, who use trading interfaces to specify trades in mutual funds for accounts managed by the institution. The system ensures that trades are executed and recorded accurately across all relevant accounts, reducing manual errors and improving operational efficiency. The platform may also integrate with external systems to validate trade data and ensure compliance with regulatory requirements. By automating trade administration, the system streamlines workflows for financial advisors and institutional administrators, enhancing scalability and reducing administrative overhead. The invention focuses on improving the accuracy and speed of mutual fund trading operations within a financial institution's managed account framework.
15. The method of claim 10 , wherein validating the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution comprises accepting the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution based on one or more processing rules associated with the one or more mutual funds and based on one or more product rules associated with the one or more mutual funds.
This invention relates to financial systems for validating trades in mutual funds administered by a financial institution. The system addresses the challenge of ensuring trades comply with both fund-specific and product-specific rules before execution. The method involves receiving trade information for mutual fund transactions across multiple accounts managed by a financial institution. The system validates these trades by applying predefined processing rules tied to the specific mutual funds involved, as well as product rules that govern the funds' operational constraints. These rules may include restrictions on trade timing, volume limits, or eligibility criteria. The validation process ensures that only compliant trades are accepted, reducing errors and regulatory risks. The system integrates with a discretionary and managed accounts administration computer system to streamline trade approval workflows. By automating rule-based validation, the invention enhances efficiency and accuracy in mutual fund trade processing, minimizing manual oversight and potential compliance violations. The approach is particularly useful for financial institutions managing large volumes of mutual fund transactions across diverse accounts.
16. The method of claim 10 , wherein the custodian holds one or more assets of the one or more accounts administrated by the financial institution in trust, such that the one or more assets of the one or more accounts administrated by the financial institution are held away from the financial institution.
This invention relates to financial systems where a custodian holds assets of accounts administered by a financial institution in trust, ensuring the assets are kept separate from the financial institution. The system involves a financial institution managing accounts for clients, where the assets within those accounts are held by a custodian rather than the financial institution itself. The custodian acts as a trustee, maintaining control over the assets to mitigate risks such as fraud, mismanagement, or insolvency of the financial institution. This separation ensures that the assets remain secure and independent from the financial institution's operations. The custodian may perform various functions, including safeguarding the assets, executing transactions, and providing reporting, while the financial institution retains administrative oversight of the accounts. The system enhances trust and security by physically or legally isolating the assets from the financial institution's control, reducing exposure to institutional risks. This approach is particularly useful in scenarios where regulatory requirements or client preferences demand strict asset segregation. The method ensures that the custodian's role is clearly defined, with the financial institution maintaining administrative responsibilities while the custodian handles asset custody. This separation of duties improves transparency and accountability in financial transactions.
17. The method of claim 10 , wherein the central tracking computing platform associated with the financial institution updates billing information, supervision information, and reconciliation information based on the activity-position information associated with the one or more mutual funds received from the clearing entity computer system.
This invention relates to financial systems for tracking and managing mutual fund transactions within a financial institution. The system addresses inefficiencies in tracking fund positions, billing, supervision, and reconciliation processes, which can lead to errors, delays, and compliance risks. A central tracking computing platform, operated by the financial institution, receives activity-position information from a clearing entity computer system. This information includes details about mutual fund transactions, such as trades, holdings, and positions. The platform processes this data to update billing records, ensuring accurate fee calculations and invoicing. It also updates supervision records, enabling monitoring of fund performance, compliance, and risk management. Additionally, the platform reconciles the activity-position data with internal records, resolving discrepancies and ensuring data integrity. The system automates these processes, reducing manual intervention and improving accuracy. By integrating data from the clearing entity, the platform ensures real-time or near-real-time updates, enhancing decision-making and regulatory compliance. The invention is particularly useful for financial institutions managing multiple mutual funds, where tracking and reconciliation can be complex and error-prone.
18. The method of claim 10 , wherein the central tracking computing platform associated with the financial institution allocates the changes identified in the activity-position information associated with the one or more mutual funds received from the clearing entity computer system to the one or more accountholders associated with the one or more accounts administrated by the financial institution by updating records identifying specific participants as owning or having rights to specific assets that have changed in position.
This invention relates to financial tracking systems, specifically methods for updating asset ownership records in mutual funds administered by a financial institution. The problem addressed is the need for accurate and timely allocation of changes in mutual fund positions to individual accountholders, ensuring that ownership records reflect real-time market activity. The system involves a central tracking computing platform operated by a financial institution that receives activity-position information from a clearing entity computer system. This information details changes in the positions of mutual funds, such as adjustments in asset holdings or valuation. The platform processes this data to identify specific changes and then allocates these changes to the appropriate accountholders. The allocation is performed by updating records that specify which participants own or have rights to particular assets that have undergone position changes. This ensures that each accountholder's account accurately reflects their current ownership stake in the affected mutual funds. The method ensures that financial institutions can maintain precise and up-to-date records of asset ownership, which is critical for regulatory compliance, reporting, and customer transparency. By automating the allocation process, the system reduces manual errors and improves efficiency in tracking mutual fund positions across multiple accounts.
19. One or more non-transitory computer-readable media storing instructions that, when executed by a computer system comprising at least one processor, memory, and a communication interface, cause the computer system to: receive, via the communication interface, and from a discretionary and managed accounts administration computer system associated with a financial institution, trade information defining one or more trades in one or more mutual funds for one or more accounts administrated by the financial institution; validate the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution; after validating the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution, create order information based on the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution, wherein creating the order information based on the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution comprises adding one or more indicators identifying a custodian different from the financial institution to the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution; send, via the communication interface, and to a clearing entity computer system, the order information created based on the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution, wherein sending the order information created based on the trade information defining the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution received from the discretionary and managed accounts administration computer system associated with the financial institution to the clearing entity computer system causes the clearing entity computer system to settle the one or more trades in the one or more mutual funds for the one or more accounts administrated by the financial institution with the custodian different from the financial institution; receive, via the communication interface, and from the clearing entity computer system, activity-position information associated with the one or more mutual funds; and send, via the communication interface, and to a central tracking computing platform associated with the financial institution, the activity-position information associated with the one or more mutual funds received from the clearing entity computer system, wherein sending the activity-position information associated with the one or more mutual funds received from the clearing entity computer system to the central tracking computing platform associated with the financial institution causes the central tracking computing platform associated with the financial institution to: allocate changes identified in the activity-position information associated with the one or more mutual funds received from the clearing entity computer system to one or more accountholders associated with the one or more accounts administrated by the financial institution; and post the changes identified in the activity-position information associated with the one or more mutual funds received from the clearing entity computer system and allocated to the one or more accountholders associated with the one or more accounts administrated by the financial institution to one or more trading applications provided by the discretionary and managed accounts administration computer system associated with the financial institution.
This invention relates to a computer system for processing mutual fund trades in a financial institution's discretionary and managed accounts. The system addresses inefficiencies in trade settlement and position tracking when a financial institution uses an external custodian for mutual fund transactions. The system receives trade information from the financial institution's administration system, validates the trades, and creates order information by adding custodian identifiers. The order information is sent to a clearing entity, which settles the trades with the external custodian. After settlement, the system receives activity-position information from the clearing entity and forwards it to the financial institution's central tracking platform. The tracking platform allocates changes to accountholders and posts updates to trading applications. This ensures accurate position tracking and settlement reconciliation between the financial institution and the custodian. The system automates trade processing, reduces manual errors, and improves efficiency in mutual fund trade settlement and reporting.
20. The one or more non-transitory computer-readable media of claim 19 , wherein the central tracking computing platform associated with the financial institution allocates the changes identified in the activity-position information associated with the one or more mutual funds received from the clearing entity computer system to the one or more accountholders associated with the one or more accounts administrated by the financial institution by updating records identifying specific participants as owning or having rights to specific assets that have changed in position.
This invention relates to financial systems for tracking and allocating changes in mutual fund positions. The system addresses the challenge of accurately reflecting real-time changes in mutual fund holdings across multiple accountholders. A central tracking computing platform, operated by a financial institution, receives activity-position information from a clearing entity computer system. This information details changes in the positions of one or more mutual funds. The platform processes this data to update records that identify specific accountholders as owners or holders of rights to specific assets that have undergone position changes. The system ensures that the financial institution's records accurately reflect the current ownership and rights of accountholders in response to mutual fund position adjustments. This automation reduces manual errors and improves the efficiency of tracking asset ownership in financial portfolios. The invention may also include additional features such as generating reports or notifications based on the updated records, though these are not explicitly detailed in the claim. The core functionality focuses on the automated allocation of mutual fund position changes to the correct accountholders within a financial institution's administrative system.
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September 2, 2015
November 26, 2019
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